503B Outsourcing Facilities Report 2025

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4. Bulk Production and Distribution:

Unlike traditional pharmacies, which only compound drugs based on individual prescriptions, 503B facilities may produce

large batches of compounded medications in advance. These medications are distributed in bulk to healthcare providers

for use in multiple patients.

The facility must meet all requirements for large-scale production, including detailed labeling, lot tracking, and

documentation for each batch.

5. Quality Assurance and Safety:

503B facilities are subject to FDA inspections and must comply with rigorous quality assurance protocols to ensure that

the compounded medications are safe, effective, and meet regulatory standards.

These facilities must perform routine stability and potency testing, maintain proper documentation of the compounding

process, and provide patients with products that are free from contaminants or errors.

6. Traceability and Recall Procedures:

Outsourcing facilities must have robust systems in place for tracing medications to ensure that they can quickly identify

and recall products if there are safety concerns or if a product is found to be defective.

This is a critical feature to safeguard patient health, especially since 503B facilities supply large quantities of compounded

drugs to healthcare systems.

Key Differences Between 503A and 503B Pharmacies

Focus on compounding medications

for individual patients based on

prescriptions. They are subject to state

pharmacy laws and are not required to

follow CGMPs.

503A PHARMACIES

Can produce medications in bulk for

office use and are subject to FDA

oversight and CGMPs. They are

permitted to distribute compounded

medications to healthcare providers

without individual patient prescriptions.

503B PHARMACIES

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